Specialty Insurance Blog

Insurance Survey – Lloyds Top Risks of 2013

According to a survey conducted by insurance market Lloyds of London, called the 2013 Lloyd’s Risk Index (see here), taxes and cyber risk are the top risks of 2013. Three risk themes are identified: The threat of high corporate taxation is the highest risk, particularly in the US. Decreased demand from the US and western economies has reduced business confidence globally. Larger organizations are putting a greater priority on risk management, both economic and strategic. We would add a fourth: smaller organizations are, by their own admission, less prepared than larger organizations for all types of risks. As the report points out, this is a shortcoming in which the insurance industry can play an important role. This role can include... Read more →

More on Bank Account Takeover & Cyber Risk Insurance

A recent bank account takeover has resulted in a loss of $1.5 million for a California escrow service, according to Krebs on Security (see here). Krebs is an expert on cyber risk exposure from hacking. Escrow agencies, and any organization with significant cash balances, should have appropriate coverage – either crime coverage including computer theft or Cyber Insurance covering loss of money. But most do not. In this case, a number of fraudulent wires were directed from Efficient Services Escrow to Russia and China. One was recovered, the rest were not. Krebs notes that: Title and escrow firms are a favorite target of cyber thieves, precisely because banks are accustomed to these customers moving large amounts of money around on... Read more →